Is it common for early-stage SaaS startup revenue to plateau around $2-3ML ARR? Any milestones or stages that may contribute to this?

saastr.com – Is it common for early-stage SaaS startup revenue to plateau around $2-3ML ARR? Any milestones or stages that may contribute to this?

It shouldn’t be, and yet, you see it fairly often.

There’s generally one root cause: you don’t get better at sales & marketing.

Often what I see by the time you get to about $1.5m-$2m is a consistent but not really growing anymore stream of in-bound leads. I.e., the lead stream flattens out. It’s been, e.g., 20 organic in-bound leads a month (or 30 or 100 or 10 or whatever) for the past 3-4 months.